A man deposited $50 in a savings account, then withdrew it in various sums. When he'd recovered his $50 he was surprised to find $1 left in the account, though it had drawn no interest. When he inquired, the bank produced this ledger:
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1 comment:
The error is in adding the balances. Adding a balance of one day with another balance of another day is meaningless. You add a balance to delta movements. In India, you never added the balances on your bank passbook on the right side to find out how much money you had.
So the $51 number is meaningless. I say almost because if the withdrawals were done in equal time intervals, you can use the number $51 to calculate average balance etc.
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